Read the following passage: The first semester exam is a critical assessment that evaluates students' understanding of the subject matter covered during the first half of the academic year. It lays the foundation for their future academic success. What is the significance of performing well in the first semester exam?

It lays the foundation for future academic success

The school has implemented a new policy that requires students to achieve a minimum score on the PTS examination to be eligible for extracurricular activities. What can be inferred about the school's approach to motivating students?

The school is using the threat of ineligibility to motivate students

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